Core and Periphery Model
a model that describes how economic, political and cultural is spatially between dominant core regions,dependent semi-periphery and periphery regions
Neo-colonialism
The entrenchment of the colonial order, such as trade and investment, under a new guise.
Wallerstein's World Systems Theory
Proposes that a social change in the developong world is inextricably linked to the economic activities of the developing world (everything is connected).
Development
A process of improvement in the material conditions of people through diffusion of knowledge and technology.
More Developed Country (MDC)
A country that has progressed relatively far along a continuum of development.
Less Developed Country (LDC)
A country that is at a relatively early stage in the process of economic development.
Developing/emerging countries
Implies that a country has already made some progress and expects to continue.
Human Development Index (HDI)
Recognizes that a country's level of development is a function of all three factors (economic, social, demographic) and was created by the UN.
Gross Domestic Product (GDP)
the value of the total output of goods and services produced in a country, normally during a year.
Gross National Product (GNP)
The total value of all goods and services produced by a country during a year (i.e. # of Cokes sold around the world).
Primary Economic Sector
(agriculture) Directly exctract marterials from the earth by agriculture (mining, fishing, forestry)
Secondary Economic Sector
(manufacturing) Processes, transforms and assembles raw materials into useful products.
Tertiary Economic Sector
(services) Provision of goods and services to people in exchange for payment.
Quarternary Sector
Highly skilled, information-based services; usually includes management (i.e. lawyers, scientific companies, etc.)
Productivity
the value of a particular product compared to the ammount of labor needed to make it.
Value Added
the gross value of product minus the costs of raw materials and energy.
Literacy Rate
the percentage of a country's people who can read and write.
Gender-related Development Index (GDI)
Compares the level of women's development with that of both sexes.
Gender Empowerment Measure (GEM)
Compares the ability of women and men to participate in economic and political decision making.
Rostow W.W.
In the 1950s he proposed a 5-stage model of development.
Stages of Growth Model: Stage 1
The traditional society
-mostly subsistent agriculture
-activities that don't help with development such as military and religion
Stages of Growth Model: Stage 2
Pre-Conditions for take-off: Initial Investment
-limitied few ivest in tech. and infreastructure, transportation, water supply, dams (irregation)
Stages of Growth Model: Stage 3
Take-Off: Initial Success
-Limited # of industries become succeessful and competitive globally. Generally, textiles and food production.
-Remainder of economy is still traditional.
Stages of Growth Model: Stage 4
Drive to Maturity: Technology diffuses
-Technology expands to many other businesses=> rapid growth
-Labor becomes more skilled and educated
Stages of Growth Model: Stage 5
Age of Mass Production: Shift to Consumer good production
-Economy shifts from heavy indusrty in steel, energy to consumer goods (i.e. cars, fridges)
Foreign direct investment (FDI)
Investment made by a foreign company in the economy of another country.
Transitional Corporation
Invests and operates in countries other than the one in which its headquarters are located.
World Bank
Includes the International Bank for Reconstruction and Development (IBRD) and the International Development association (IDA).
International Bank for Reconstruction and Development (IBRD)
Provides loans to countries to reform public administrative and legal institutions.
International Development association (IDA)
Provides support to poor countries considered too risky to qualify for IBRD.
International Monetary Fund (IMF)
Provides loans to countries experiencing balance-of-payments problems that threaten expansion of international trade.
Structural adjustment program
includes economic goals strategies for achieving the objectives, and external financing requirements.
Fair Trade
products are made and traded according to standards that protect workers and small businesses in LDCs.
Calorie Consumption
(dietary) a percentage of daily requirement of nutrients (i.e. U.S. 130%, sub-saharan Africa=> barely enough).
Cultural convergence
the tendancy for cultures to become more alike as they increasingly share technology and organizational structures in a modern world united by improved transportation and communication.
Energy Consumption
The use of energy as a source of heat or power or as a raw material input to a manufactuing process.
Physical Quality Life Index
an attempt to measure the quality of life or well-being of a counrty.
Purchasing Power Party
the theory that in the long run, identical products and services in different countries should cost the same in different countries.
Technology Gap
The presence in a country of a technology that other countries do not have, so it cna produce and export a good whose cost might otherwise be higher than abroad.
Technnology transfer
The sharing of technological information through education and training;the use of a concept or product from one technology to solve a problem.
Third World
Underdeveloped and developing countries in Asia, Africa and Latin America.